China’s first lumber reserves base, invested by China Forestry Group Corporation (CFGC), has started construction by Suifen River on the border between China and Russia.

The project will occupy 335,000 sq m of land and will include a timber processing centre, spot trading centre, logistics centre and distribution centre. Total investment on the project is RMB2bn.

China consumes nearly 500m cu m of timber each year, 50% of which are imports. In order to solve the supply shortage, China will choose nine ports including Tianjin, Zhangjiagang, Taicang, Zhangzhou and Shenzhen to deploy an import timber trading network.